Jeremy Siegel: With tech down for the count, a 'surprise' move could lead the market higher

The stock market can “absolutely” go higher even without technology stocks leading the way, Wharton School finance professor Jeremy Siegel told CNBC on Friday.

worst month since 2008.

“We might get surprised by [investors] moving into some more dividend stocks even in a rising interest rate environment because bonds wouldn’t be good and people who don’t want the risk of tech might say, ‘Hey, I want stocks that have had long-term good dividend performance for income,'” Siegel said on “Closing Bell.”

“That might surprise us in 2019, to bring back value after this tremendous long-term run in growth.”

However, the central bank is expected to raise interest rates in December amid potential trade disruptions and a slowing economy, Siegel said. He noted that most estimates for fourth-quarter gross domestic product are under 3 percent.

In the long run, he still thinks stock valuations are really attractive.

He advised investors to “sit pat” because “there are good values out there.”